MTN begins process to raise up to $1.1bn from 30% IHS Nigeria stake sale

Africa’s leading telecoms operator, MTN Group, has started discussions with domestic investors to sell a 30% stake in IHS Nigeria Plc. This follows approval the company received from Nigerian regulators to acquire IHS Towers. 

In a Bloomberg report, the sale of a 30% stake in IHS Nigeria to local investors could raise between $900 million and $1.1 billion for MTN Group, citing people with knowledge of the matter. 

Details of the deal and the identities of the local investors remain undisclosed.

The new development forms the operator’s broader push to finalise its proposed $2.2 billion acquisition of IHS Towers. The deal would see it acquire the remaining 70% stake in the tower infrastructure company.

IHS Nigeria is the largest asset of New York-listed IHS Towers and operates about 18,000 telecom towers.

MTN-IHS: The early approval and terms 

In its H1 2026 earnings release on Monday, the group confirmed that it has received regulatory approval from Nigerian regulators, particularly the Federal Competition and Consumer Protection Commission (FCCPC) and the Nigerian Communications Commission (NCC). 

“The transaction has received approval from various regulators, including Nigeria’s Federal Competition and Consumer Protection Commission,” MTN said.

As part of the approval, Nigerian regulators noted that MTN cannot keep 100% of IHS Nigeria. The operator is expected to sell a 30% stake in the Nigerian branch to local Nigerian investors and must do so at a fair market price.

“MTN will sell down 30% of IHS Nigeria to local Nigerian investors, on an arm’s-length commercial basis and subject to market conditions,” part of the statement in the H1 2026 earnings release reads. 

The clause is expected to protect local competitors and avoid a single foreign giant having total control over critical infrastructure. This significantly allows local businesses and investors to hold equity in essential national infrastructure like telecom towers and fibre optic cables. 

After MTN announced the agreement to acquire IHS Towers, Nigerian authorities said they wanted to assess the proposed acquisition regarding its impact on the telecoms industry and on fair competition. This comes as IHS Nigeria manages towers used by Airtel, T2mobile (formerly 9mobile) and other Nigerian telecom operators. 

The Minister of Communications, Innovation, and Digital Economy, Dr Bosun Tijani, explained then that the review is to ascertain its impact on the long-term sustainability, investor confidence, and performance of the industry. It is also an effort to stabilise the telecoms sector as a critical pillar of Nigeria’s digital economy.

With approval and the onset of the search for local investors, the acquisition is set for completion by H2 2026, according to the group. 

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